[GNC] About bookkeeping and claiming non-currency expenses.

[Rich Shepard]

On Fri, 17 Apr 2020, Christopher Lam wrote:

> This question is for the resident accountants and bookkeeping.

Christopher,

Check with your accountant for their preferences and local requirements.

> But there are numerous tax deductions allowed, that don't necessarily
> belong in the book. For example:
> - claiming mileage in dollar per km for business travel
> - claiming home running costs (e.g. claiming $0.80/hour working from home
> allowance)
> - further examples welcome. etc.

What I do for non-cash donations (to Goodwill, for example) is enter the
value in an expense account called 'Donations - non-cash'. You could have
expense accounts for milage and volunteer time if appropriate. (I have run
my consultancy from home for 27 years and have separate books for personal
and business transactions.)

When I prepare reports for my accountant I include the non-cash donations
with the personal balance sheet and income statement and business expenses
from personal funds in the business balance sheet and income statement.
We've been doing this for almost 2 decades and neither the feds, the state,
nor the county have had any complaints.

HTH,

Rich